Despite a relatively stable cheese session, Class III futures continue to decline, indicating a strong short position driven by recent tariff news. The broader dairy market also struggled, with all of the complex in the red today. Both butter and NDM remain under pressure as seasonal supply builds. With demand sluggish, aligning US powder prices with global markets is likely an additional factor in recent NDM declines.
Today’s Highlights from Ever.Ag’s Know Your Markets
Spot butter shed another 2.5 cents and dropped to $2.3450 per pound, a level last seen in April 2023. The CME NDM market also declined, closing at $1.2000 per pound, down 2.5 cents. NDM saw the only volume trades today with 10 loads exchanged. CME barrels dipped to $1.7925 per pound, $0.0075 lower, while blocks were unchanged.
Class III futures tumbled further, with the March contract down 31 cents to $18.70 per hundredweight and Q2 futures settling at $18.33, a 23-cent loss. Q2 Class IV also dropped, settling at $18.71 per hundredweight, a 16-cent decrease.
By Ever.Ag
February 25, 2025
Opmerkingen